Annika Sørenstam on finding success, to and from the green

Annika Sorenstam has won more money than any other woman in golf – ever. Still, she credits budgeting and investing with her financial success.

Annika Sørenstam sits at the top LPGA career money listhaving earned more than $22 million during her time as a professional golfer – more than any other woman on the course.

At first, however, she struggled. Like many, Sørenstam started with very little money. “I’ve never really been money-driven,” says Sørenstam. “I had what I needed, which was just enough. Then when I started doing my first checks as a professional, I realized I had to take responsibility. I had to be accountable.” Did she turn around and, like many professional athletes, buy a Porsche or a place on the beach in Florida? She didn’t. Instead, she hunkered down and listened to the advice of her family and colleagues on the golf course.

When she started making money (in her case quite a bit at a young age), she first turned to how to budget it and thereafter how to invest it. Now that she’s retired, Sørenstam is working to pass on some of what she’s learned over her decades as a professional golfer to young women. She also works hard to help close what is known as the “golf gap,” or in other words, the disparities that exist between male and female golfers.

SETTING UP A FIRST BUDGET

When Sørenstam started playing golf professionally and her first big check rolled in, she realized it was time to start accounting for her money. “My first check came in and I made pretty much exactly what my budget was for throughout the year,” recalls Sørenstam. “I was thrilled!”

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Her father was also enthusiastic about her – but also more pragmatic. He sat her down and asked her to be specific make a budget for everything she needed that year for her professional career (travel, flights, hotels, food and caddy fees, for example). “I approached my budget in a very similar way to my approach in life,” says Sørenstam. “It’s a big picture, and I think it’s worked out pretty well because I’m very interested in economics now. It is a big part of who I am.”

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As she earned more, it became more important to have and stick to a financial plan and invest her earnings. When Sørenstam was 25, she called her financial advisor and said, “I don’t think all my money should just sit here. I think my money should work for me.” To which they replied, “Well, Annika, you never told us that.”

In response to the unacceptable response, Sørenstam immediately fired the financial advisor, drove straight to his local bookstore and began to teach himself how to invest begins with an “Economics 101” book and quickly moves on to the wisdom of Warren Buffett. After following the ‘Oracle of Omaha’, she started investing in a diversified portfolio – large caps, mid caps and small caps. She increased her holdings over time and held on in falling markets. “Investing is like golf,” says Sørenstam. “You have some birdies, you have some bogeys, but at the end of the day you have to trust that 18 holes are going to be good. You have to have some ice in your stomach and not panic when the market is down or people are selling .”

CLOSING THE GOLF GAP

Thanks to her incredible success as a professional golfer and her smart investments, Sørenstam’s total net worth is now approx. 40 million dollars. Her best investment? Buying a house at the right time and in the right place. “I bought places where land is scarce, and if you buy the right places, it will increase over time, and I’ve been lucky enough to do that,” says Sørenstam.

Since retiring from playing professionally, she has focused her efforts on giving back to the younger generation and being an advocate for leveling the playing field for female golfers. One way she does it is through ANNIKA Foundationan organization that seeks to develop, empower and advance young women around the world through golf and in life. “I think a lot of women settle,” she says. “We feel like we can’t ask questions. We also feel like we have to over deliver all the time. Our slogan is ‘more than golf’ so it’s not just about competition. We want it to be much more than that .”

Clicking on links has become more popular in recent years, especially for women. National Golf Foundation now says there are 6.5 million female golfers, up from 5.5 million just a few years back in 2019. That said, there is still a long way to go to reach parity. For example, the men’s PGA Championship purse this year totaled $18,500,000. On the other hand, the purse for the Women’s PGA Championship was $10.4 million.

One of the ANNIKA Foundation’s flagship events is the upcoming “ANNIKA powered by Gainbridge at Pelican.” They LPGA golf tournamenttaking place at Pelican Golf Club in Belleair, Florida, aims to bring together the best female professional golfers in the world with the goal of changing the face of golf by making the sport more accessible and inclusive. “Now about a third of all junior golfers are women. It’s fun to see the growth, but of course we’re not stopping at this point,” says Sørenstam. “It’s a game you can play forever.”

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